Business
GBank Financial Holdings Inc. Confirms Agreement to Merge with BankCard Services, LLC
LAS VEGAS, Dec. 14, 2023 /PRNewswire/ -- GBank Financial Holdings Inc. (the "Company") (OTCQX: GBFH), the parent company for GBank (the "Bank"), and BankCard
About this update from Gbank Financial Holdings Inc.
[{"type":"text","content":"LAS VEGAS, Dec. 14, 2023 /PRNewswire/ -- GBank Financial Holdings Inc. (the \"Company\") (OTCQX: GBFH), the parent company for GBank (the \"Bank\"), and BankCard Services, LLC (\"BCS\") today announced that they have executed a definitive merger agreement whereby the Bank will acquire BCS in an all-stock transaction. When completed, BCS will operate as a subsidiary of the Bank, further enhancing its Gaming FinTech Division. BCS patented Pooled Player (PPA™) and Pooled Consumer (PCA™) Programs shall expand cashless payment solutions to a growing network of gaming and payments partners and financial institutions.\n\nAs stated in the merger agreement, which has been approved by the disinterested members of the Board of Directors of the Company and the Bank, BCS shareholders will receive an aggregate of $10.0 million of shares of Company common stock, valued for purposes of the merger at the October 27, 2023 closing price of $14.25 per share (an aggregate of 701,754 shares of the Company's common stock). The transaction is expected to be immediately accretive to the Company's earnings per share.\nT. Ryan Sullivan, President and CEO of the Company and Bank, stated, \"We are very excited to announce this transaction and are looking forward to expanding our existing relationship with BCS. The platform's ability to generate fees and source noninterest bearing deposits in today's interest rate environment is extremely valuable. Furthermore, BCS's proprietary intellectual property and licensing opportunities can generate a significant upside for the Company.\"\nEdward M. Nigro, President of Omega Industries, Inc, the Manager and CEO of BankCard Services, LLC stated, \"Hanan Sabri, BCS President, and I founded BCS in 2014 and raised the capital necessary to enable GBank to participate in the launch of Cashless Gaming with Sightline Payments in our home State of Nevada. BCS has evolved and developed proprietary banking solutions that can provide gaming patrons and payments users with FDIC-insured individual ledger accounts when utilizing Apps or Wallets of contracted companies. This strategic decision shall afford GBank greater opportunity to harness BCS proprietary solutions including licensing our intellectual property to other Financial Institutions.\"\nHanan Sabri will also continue with the new GBank Subsidiary as its President/Chief O...